Aus Institute warns hydrogen could be Trojan horse

April 8, 2019

The Australia Institute says the development of a hydrogen
energy sector in Australia has been promoted as a lower-emissions alternative
to Australian coal and gas exports, but it could provide a new lease of life
for fossil fuels.

“There is a significant risk that the promise of hydrogen as a
low-carbon alternative, for domestic use and export, could backfire,” The
Australia Institute says.

“The development of Australia’s hydrogen industry could be
used as a proverbial Trojan horse, to provide a new lease of life for fossil
fuels through the production of hydrogen.”

The government is in a position to regulate and guide the hydrogen industry over the next 50 years, and The Australia Institute suggests green hydrogen as a solution, presenting Australia with a potential zero-carbon energy source for domestic and international use.

“The
Government should avoid past mistakes and prevent hydrogen being used as a
vehicle for the extension or even expansion of fossil fuels,” The Australia
Institute says.

“Recent
research suggests that large-scale renewable hydrogen might be cost-competitive
with fossil-fuel based hydrogen within the next five years if relatively modest
government incentives are implemented.